OVERNIGHT/EARLY MORNING DEVELOPMENTS

There was no major feature in overnight/early morning trading. Gold is trading solidly higher and crude oil prices are moderately higher. The U.S. dollar is lower versus the other major currencies. The U.S. stock indexes are higher in early trading. U.S. Treasuries are slightly higher.

U.S. ECONOMIC REPORTS/EVENTS

On tap today is weekly jobless claims, durable goods orders, the Conference Board’s help-wanted index, new home sales, the weekly natural gas storage report, and the Kansas City Fed manufacturing index.

U.S. STOCK INDEXES

The indexes are firmer in early morning electronic trading. Bulls are working prices up from their recent lows.

September S&P 500: The shorter-term moving averages (4-, 9- and 18-day) are turning more bullish. The 4-day moving average is above the 9-day and the 18-day. The 9-day is still below the 18-day moving average, but is turning north. Short-term oscillators (RSI, slow stochastics) are bullish for today. Today, key shorter-term technical support comes in at the overnight low of 1,272.30. Sell stops likely reside just under that level. More sell stops likely reside under shorter-term technical support at Wednesday’s low of 1,266.80. Shorter-term upside resistance for active traders today is at Wednesday’s high of 1,279.70. Buy stops are likely located just above that price level, and heavier buy stops are likely located just above solid chart resistance at the July high of 1,289.70. Wyckoff’s Intra-day Market Rating: 7.0

PIVOT POINT LEVELS FOR S&P 500:

Pivot:———— 1,273.25
1st Support:—— 1,266.75
2nd Support:—— 1,260.35
1st Resistance:— 1,279.70
2nd Resistance:— 1,286.15

September Nasdaq: The shorter-term moving averages (4- 9- and 18-day) are turning bullish. The 4-day is above the 9-day moving average. The 9-day moving average is still below the 18-day, but is turning north. Short-term oscillators (RSI, slow stochastics) are bullish for today. Today, shorter-term technical support is located at Wednesday’s low of 1,483.00. Sell stops likely reside just below that level, and then more sell stops likely reside below support at 1,475.00. On the upside, short-term resistance is seen at Wednesday’s high of 1,510.00. Buy stops are likely located just above that level. More buy stops are then likely located just above resistance at 1,525.00. Wyckoff’s Intra-Day Market Rating: 5.5

PIVOT POINT LEVELS FOR NASDAQ:

Pivot:———— 1,496.25
1st Support:—— 1,482.50
2nd Support:—— 1,469.25
1st Resistance:— 1,509.50
2nd Resistance:— 1,523.25

September Dow: For today, sell stops likely reside just below support at Wednesday’s low of 11,085 and then more stops just below support at 11,046. Buy stops likely reside just above shorter-term technical resistance at Wednesday’s high of 11,195 and then more buy stops just above resistance at 11,250. Shorter-term moving averages are turning bullish today, with the 4-day moving average above the 9-day, and poised to move above the 18-day today. The 9-day is moving average is still below the 18-day moving average, but is turning back north. Shorter-term oscillators (RSI, slow stochastics) are neutral to bullish today. Wyckoff’s Intra-Day Market Rating: 7.0

PIVOT POINT LEVELS FOR DOW:

Pivot:———— 11,139
1st Support:—— 11,084
2nd Support:—— 11,029
1st Resistance:— 11,194
2nd Resistance:— 11,249

U.S. TREASURY BONDS AND NOTES

Both notes and bond prices are firmer in early trading in Chicago. Bulls have regained some near-term technical strength.

September U.S. T-Bonds: Shorter-term moving averages (4- 9- 18-day) are still bullish today. The 4-day moving average is above the 9-day. The 9-day is still above the 18-day moving average. Oscillators (RSI, slow stochastics) are neutral for today. Shorter-term technical resistance lies at the overnight high and Wednesday’s high of 107 30/32. Buy stops likely lie just above that level. More buy stops also likely reside just above shorter-term technical resistance at the July high of 108 4/32. Shorter-term technical support lies at the overnight low of 107 23/32. Sell stops likely reside just below that level. More sell stops are likely located below support at 107 15/32. Wyckoff’s Intra-Day Market Rating: 5.5

PIVOT POINT LEVELS FOR T-BONDS:

Pivot:———– 107 21/32
1st Support:—– 107 13/32
2nd Support:—– 106 30/32
1st Resistance:– 108 4/32
2nd Resistance:– 108 12/32

September U.S. T-Notes: Shorter-term oscillators (RSI, slow stochastics) are bullish for today. Buy stops likely reside just above shorter-term technical resistance at the overnight high and Wednesday’s high of 105.24.0, and then more buy stops are likely located just above solid resistance at the July high of 105.26.0. Shorter-term moving averages are still bullish today. The 4-day moving average is above the 9-day. The 9-day is still above the 18-day moving average. Sell stop orders are likely located just below support at the overnight low of 105.20.0, and then more sell stops just below support at Wednesday’s low of 105.09.0. Wyckoff’s Intra Day Market Rating: 5.5

PIVOT POINT LEVELS FOR T-NOTES:

Pivot:———— 105.18.0
1st Support:—— 105.13.0
2nd Support:—— 105.03.0
1st Resistance:— 105.28.0
2nd Resistance:— 106.01.0